Try to avoid or reduce redundancies by considering alternatives like recruitment or pay freezes, bans on agency staff or contractors, and changing contract terms.
Warn all potentially affected staff of the risk of redundancy at an early stage in the process. This is especially important where you need to select between employees in similar roles. Consider using an At risk of redundancy letter for this purpose.
Each affected employee must be consulted about their possible redundancy before the final decision. The meeting should be in private and with a view to reaching agreement. Consider using a Redundancy consultation letter to inform employees of the date and time of a meeting to discuss potential redundancies. This letter can be a first step in your redundancy process if you are just making one employee in a unique role redundant and there is no element of selection.
Choose staff for redundancy carefully, fairly and rationally. This can be tricky to get right so, for more information, read Redundancy pooling and selection. Note that you will need to take extra care when making redundancies which involve employees who are pregnant or on maternity leave. For more information, read Redundancy and pregnancy or maternity leave.
Consider any suitable alternative employment that might be available within your business (or a parent company if there is one), even if additional training may be needed. Keep considering this right up until the dismissal takes effect (ie during the notice period, after redundancy is confirmed).
Give employees the right to appeal their selection for redundancy. Consider using a Letter inviting an employee to a redundancy appeal meeting for this purpose.
Take care to abide by all the dismissal basics relating to issues such as notice period and accrued holiday pay and remember that redundant employees have the right to time off to look for alternative employment. Consider using a professionally prepared Redundancy dismissal letter.